EM3E5M55

Semester
B
Discipline
Finance
Contact hours
11 H
Number of spots
45
Open to visitors
Yes
Language
Coordinator
Régis BLAZY


Pedagogical contribution of the course to the program

No educational contribution associated with this course for this program.

Description

This lesson aims at presenting the main stakes attached to the microfinance industry, as initially introduced in Bangladesh by M. Yunus (2006 Nobel peace prize), and replicated all over the world since then (including Europe). In France, several institutions are specialized in that field (ADIE, Alsace Active...). Microfinance encompasses (1) microcredit, (2) micro saving, and (3) micro insurance. This course insists on the main difficulties of traditional banking to finance (or insure) poor entrepreneurs, despite their individual talent, or level of innovation. The specific mechanisms of microfinance are then presented and analyzed in detail: group lending, women enpowerment, flexible approach to collaterals, impact on poverty and development, sustainability, managerial incentives... The reference book of this lesson is the seminal manuscript from Armendariz and Morduch, published at MIT Press: The Economics of Microfinance, 2010. During this course, the students are given the opportunity to present a microfinance institution, or any subject / application related to microfinance / financial development.

Teaching methods

Face-to-face

- Lectures
- E-learning

In group


- Oral presentations
- Case studies/texts

Interaction

- Discussions/debates
- Games (educational, role play, simulation)

Others

No items in this list have been checked.

Learning objectives

Cognitive domain

Upon completion of this course, students should be able to
  • - (level 2) Explain how microfinance works.
  • - (level 3) Illustrate examples related for the fields of microfinance.
  • - (level 4) Criticize the debates around microcredit.
  • - (level 5) Synthesize the financial mechanisms attached to financing.
  • - (level 6) Appraise the upcoming stakes of financial development.

Affective domain

Upon completion of this course, students should be able to
None affective domain have been associated with this course yet

Outline

1. Introduction 2. The specificities of the credit markets (the various forms credit markets) 3. Microcredit and group lending (information, mechanism, new contracts, women targeting) 4. Micro-insurance & savings (micro-insurance contracts, savings & deposits) 5. The impact on poverty and development (methodology issues, empirical findings) 6. Can microlending be sustainable? (the role of subsidies, two examples) 7. Incentives, management & organization (case study, multiple objectives, incentives) 8. Microfinance funds industry 9. Conclusion

No prerequisite has been provided

Knowledge in / Key concepts to master

- Financial institutions - Microeconomics - Financial reports - Banking

Teaching material

Mandatory tools for the course


- Calculator

Documents in all formats

- Photocopies

Moodle platform

- Upload of class documents
- Other : Access to tutorial videos

Software

- Pack Office (Word, Excel, PowerPoint, Access)

Additional electronic platforms

No items in this list have been checked.

Recommended reading


Reference Book: Armendariz B. and J. Morduch: “The Economics of Microfinance”, MIT Press [2010] Essays YUNUS M.: “Banker to the Poor”, PublicAffairs Ed., [2003]. YUNUS M.: “Creating a World Without Poverty”, PublicAffairs Ed., [2008]. Other References: BOYE S., J. HAJDENBERG, C. POURSAT: “Le Guide de la Microfinance”, Ed°. D’organisation, Eyrolles Press [2006] ZELLER M., R. MEYER: “The Triangle of Microfinance” [collective book], Johns Hopkins University Press [2002]. MATTHÄUS-MAIER I., J.D. Von PISCHKE: “Microfinance Investment Funds” [collective book], Springer [2006]. CIRAD: “Le microfinancement dans les pays en développement”, Les bibliographies du CIRAD [1997]. Applied Experiments: come from a W.P. by Nicolas EBER (IEP Strasbourg).


BOYE S., J. HAJDENBERG, C. POURSAT: “Le Guide de la Microfinance”, Ed°. D’organisation, Eyrolles Press [2006] ZELLER M., R. MEYER: “The Triangle of Microfinance” [collective book], Johns Hopkins University Press [2002]. MATTHÄUS-MAIER I., J.D. Von PISCHKE: “Microfinance Investment Funds” [collective book], Springer [2006]. CIRAD: “Le microfinancement dans les pays en développement”, Les bibliographies du CIRAD [1997]. Applied Experiments: come from a W.P. by Nicolas EBER (IEP Strasbourg).

EM Research: Be sure to mobilize at least one resource

Textbooks, case studies, translated material, etc. can be entered
Finance et éthique, (Editors: Chantal Cutajar, Jérôme Lasserre-Capdeville, Michel Storck, Lamy, collection “Axe Droit”), “Le microcrédit : une finance au service du développement?”, R. Blazy, 2013.

Assessment

List of assessment methods

Final evaluationExam week
Written (90 Min.) / Individual / English / Weight : 100 %
This evaluation is used to measure LO1.1, LO1.2, LO1.3, LO2.1, LO2.2, LO4.1
No assessment methods have been attributed to this course yet.